SAS Human Capital Management @ ING NetherlandsH.Tijssen (HRN-IT)

© ING Group

Contents

• Introduction of the ING-Group• Business Issue; Value proposition of HCM• Present Situation• Targets • Proposed Solution• Implementation of the Solution• Benefits• Overview of HCM• Concluding remarks

© ING Group

ING: a world-wide group

More than 110,000 employees 65 countries

© ING Group

# Name Market value in EUR billion as of 8 April 20021 Citigroup 284.92 AIG 220.83 Bank of America 120.64 HSBC 120.15 Berkshire Hathaway 107.06 Wells Fargo 94.37 Fannie Mae 94.18 Royal Bank of Scotland 83.69 JPM Chase 78.1

10 UBS 73.211 Allianz 72.412 Morgan Stanley Dean Witter 69.413 Lloyds TSB 65.214 American Express 61.715 ING 58.316 Barclays 58.217 Wachovia 55.618 Bank One 53.919 Freddie Mac 52.820 Credit Suisse Group 51.8

ING: Top 20 global financial institutions

Source: Bloomberg

© ING Group

# Name Market value in EUR billion as of 8 April 20021 HSBC HOLDINGS 120.12 Royal Bank of Scotland 83.63 UBS 73.24 Allianz 72.45 Lloyds TSB 65.26 ING 58.37 Barclays 58.28 Credit Suisse Group 51.89 Munich RE 50.8

10 BNPParibas 50.011 Deutsche Bank 45.012 SCH 44.513 Halifax 44.414 BBVA 43.015 AXA 41.716 AEGON 39.117 Generali 36.918 Swiss RE 33.919 Fortis 33.320 ABN AMRO 33.3

Top 20 financial institutions in Europe

Source: Bloomberg

© ING Group

ING: Company BackgroundING HR Netherlandsresponsible for:• HR Strategy, • Policies • Operational systems for all of the Dutch ING operations/labels

ING HRNPostbank

ING Car Lease

ING Bank

ING Real Estate

RVS

Nationale-Nederlanden

© ING Group

ING: Company Background

• HR Netherlands:– services 35.000 employees plus ex employees and pensioners– Existing SAS user for 5+ years– Mainframe based legacy system– SAS mainframe based datamarts

• ING Group:– Strategic focus on: Operational excellence– For HR-field focus on: “Employee Self Service”

“Management Self Service”

© ING Group

Business Issue: Value Propositionas a result of SAS HCM for MSS

on top of PeopleSoft HRMS for ESS

ING HR Netherlands will be able to implement anoff-the-shelf HR Warehouse solution addressing the

functional and technical requirements at low cost and low risk

resulting in Management Self Service and

Increased Operational Efficiency

© ING Group

Present HRM Management Information

Customer Environment

HSS

ZIP

VERA

Spirit

Etc…..

HRMdata

Payrolldata

Healthdata

Pensiondata

Other

FinanceControl e.g

Health

HR-departments

Privatedata

All sorts of tools

© ING Group

Present Situation: Bottleneck in MI

• No uniform approach• Long Delivery time• High costs (data and processing) • Complex environment for maintenance• Lack of Metadata• Redundant Data

© ING Group

Targets: HRN Business Objectives

• Reliable and timely management information“Realise one version of the truth”

• Supporting• Management Self Service, • Employee Self Service

• Cost reduction• Creating synergy between Business Units

for development, maintenance e.g.

© ING Group

Targets: HRN IT

• Realise one central system forManagement Information for ING Netherlands including Soft- and Hardware

• Supporting• ITIL-principles (Maintenance)• PeopleSoft implementation • Web deployment• Multi-language

• Realise IT cost efficiencies• Create and use of Metadata

© ING Group

Proposed Solution: DWH Architecture

TransformTransport

Load

TransformTransport

Load

Sourcedata

ExtractCleanse Exploit

Main-frame

PeopleSoft

publish subscribe

Infrastructure

Metadata Management

Data Management

© ING Group

Proposed Solution: DWH Architecture (HCM)

TransformTransport

Load

TransformTransport

Load

Sourcedata

ExtractCleanse Exploit

Main-frame

PeopleSoft

publish subscribe

Infrastructure

Metadata Management

Data Management

SAS (warehouse administratorand Access to PeopleSoft)

SAS

Oracle en SAS

SAS (wa)

IBM RS6000

SAS HCMand ING

HRMS

© ING Group

Proposed Solution: Business Case HCMPro’s• HCM is an end to end solution• Mapping PeopleSoft HRMS by Access to PeopleSoft• Web enabled• Supported by ING-Standards• Metadata support• Good solution architecture (standard reports; analytics)• SAS experience within ING• Relative low cost of HCM

Con’s• First HCM implementation in the Netherlands• HCM Data model based on USA situation (Compensation,

Benefits, Health..)

© ING Group

Implementation• Resources:

– eight developers– usergroups– SAS

• User groups requirement workshops• Planning; oktober 2002 operational

– One year– Phase 1 (app. 3000 Managers and 100 HR-analysts)– Training and Support– Phase 2 (Analysts and other users; 35.000 users)

• Support by SAS– Support by problems– Changes to core HCM– Multi-Language

© ING Group

Implementation experience: Issues Main strength • Framework• Web enabled• Implementation time

Be aware of• ETTL will be the bottleneck• Tailoring standard reports • Tailoring the data model• Lack of experience with HCM Unix version• Availability of technical documentation

© ING Group

Benefits• Cost reduction in the delivery of management

information and maintenance• HCM enables Management Self Service concept• Reliable and timely management information delivered

through the web• Organisational alignment (same figures and indicators

for all users)• Easy and efficient access to report and analitic

functionality• Enthusiast user groups (this is what they always

wanted but never had)• Better maintenance through improved ETTL and

Metadata procedures

© ING Group

Overview of HCM

Screenshots of the HCM solutionat ING HR Netherlands

© ING Group

© ING Group

© ING Group

© ING Group

Headcount NN/Lifeperiod: 200203

0100200300400500600700800

Life/1 Life/2 Life/3 Life/4 Life/5

Organisation unit

Persons / FTE

Persons

FTE

HeadcountYearMonth 200203Organisation unit NN/Life

Organisation unit Total Persons FTE Gender Gender

Persons FTE Male Female Male FemaleLife/1 500 480 300 200 240 240Life/2 250 220 200 50 180 40Life/3 50 40 25 25 25 15Life/4 600 585 400 200 400 185Life/5 725 675 500 225 475 200

NN/Life 2125 2000 1425 700 1320 680

OrganisationNNNN/LifeNN/ClaimsLife/1Life/2Life/3Life/4Life/5Claims/1Claims/2Claims/3Claims/4Claims/5Life/1/1Life/1/2Life/2/1Life/2/2Claims/3/1Claims/3/2Claims/4/1Claims/4/2Claims/5/1Claims/5/2

© ING Group

Absence rate excl. pregnancy leave and disablementOrganisation unit NN/Life

Age Gender Part time categorycategory Total Male Female 0 < 50% 50 < 75% 75 < 100% 100% > 100%

0 - 25 yr 3,0 2,8 3,5 x x x x x25 - 35 yr 3,5 4,2 3,2 x x x x x35 - 45 yr 4,8 3,7 5,0 x x x x x45 - 55 yr 5,2 5,1 5,2 x x x x x55 yr and olde 7,3 6,8 7,4 x x x x x

NN/Life 4,5 4,2 4,8 x x x x x

OrganisationNNNN/LifeNN/ClaimsLife/1Life/2Life/3Life/4Life/5Claims/1Claims/2Claims/3Claims/4Claims/5Life/1/1Life/1/2Life/2/1Life/2/2Claims/3/1Claims/3/2Claims/4/1Claims/4/2Claims/5/1Claims/5/2

Absence rate NN/LifeExcl. pregnancy leave and disablement

period: jan-2001 until dec-2001

0,0

1,0

2,0

3,0

4,0

5,0

6,0

jan-01 feb-01 mrt-01 apr-01 me i-01 jun-01 jul-01 aug-01 s ep-01 o kt-01 no v-01 dec -01

Month

rate

© ING Group

© ING Group

Concluding Remarks• Early Results

– Business– IT

• Support from SAS

© ING Group

Questions

Questions ???